Remaining Time: 1 hour, 56 minutes, 05 seconds. Question Completion Status: On January 1, Imlay Company purchases manufacturing equipment costing $95,000 that is expected to have a five-year life and an estimated salvage value of $5,000. Imlay uses the straight-line depreciation method to allocate costs, and only prepares adjustments at year-end. The adjusting entry needed on December 31 of the first year is: Debit Depreciation Expense, $90,000; credit Accumulated Depreciation, $90,000. A Debit Depreciation Expense, $18,000; credit Accumulated Depreciation, $18,000. B. Debit Depreciation Expense, 89,000; credit Equipment, $9,000 Debit Depreciation Expense, $9.000; credit Accumulated Depreciation, $9,000 D Debit Depreciation Expense, $18,000: credit Equipment, $18,000 F Click Save and Submarmi. Click Save All Answers to see all answers